Our Mission: To build and maintain water delivery ... › wp-content › uploads › ...UTILITIES FUND FUND BUDGET SUMMARY PROGRAM FINANCIAL SUMMARY FY 2017 FY 2018 FY 2019 % Change

UTILITIES FUND Department of Environmental Services

Our Mission: To build and maintain water delivery, sanitary sewer collection, and wastewater treatment systems that provide high-quality water and sewer services and products

SIGNIFICANT BUDGET CHANGES

The FY 2019 proposed expenditure budget for the Utilities Fund is $89,490,459, a less than one percent decrease from the FY 2018 adopted budget. The FY 2019 budget reflects: Personnel increases due to the addition a Public Engagement Specialist ($127,381, 1.0 FTE),

employee salary increases, an increase in the County’s cost for employee health insurance, and retirement contributions based on current actuarial projections, partially offset by charge-backs to capital.

Non-personnel decreases due to the reduction for purchased water ($800,000) and elimination of FY 2018 one-time expenses ($37,999), partially offset by sewer preventative maintenance equipment funding ($144,000), Trades Center optimization study funding ($100,000), adjustments to the annual expense for maintenance and replacement of County vehicles ($18,301), operating costs associated with the asset management software ($4,885), ongoing operating expenses for the new position ($1,220), and one-time funding for the new position ($4,000).

Debt service decreases due to repayment of General Obligation Bonds for various Utilities Fund capital projects and the repayment of a portion of funds borrowed through the Virginia Wastewater Revolving Loan Fund for the Master Plan 2001 project at the Water Pollution Control Plant (WPCP) ($613,007).

Other expenses increase due to higher overhead charges based on FY 2019 projections ($343,061).

Revenue decreases due to a projected decrease in sewage treatment charges from neighboring jurisdictions ($454,147), offset by increases for Lee Pumping Station lease agreements ($5,495) and interest income ($25,000).

Fund Balance Utilized increases from the prior year by $589,448 and reflects the planned drawdown of fund balance, consistent with the County’s financial policies.

The total water/sewer rate is proposed to remain at $13.62 per thousand gallons (TG). The water rate and sewer rates are currently $4.53/TG and $9.09/TG respectively effective May 1, 2017. The average homeowner, using approximately 60 TG annually, spends $817 per year.

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UTILITIES FUND FUND BUDGET SUMMARY

The following fees and other revenue are used to fund operating and capital costs for the Utilities Fund. The capital costs are reflected in the Pay-As-You-Go Capital portion of the budget, found in Tab E. Fund Balances from Prior Years: The County maintains a fund balance, consistent with the Board-adopted financial policy to maintain an operating reserve equal to three months of expenses, to cover emergency events that might impact water and sewer services. Interest Earnings: Interest earned on the fund balance accrues to the Utilities Fund monthly. Water/Sewer Billing: These charges generate approximately 94 percent of the income for the Utilities Fund. This category includes sewer revenue from government facilities and authorities and other organizations (such as the Pentagon and Reagan National Airport) that use the County’s sewage system but receive their drinking water from other sources. Water Service Connection Fee: This fee is paid by new water users for a physical connection to the water system. The fee recovers 100 percent of personnel, materials, and equipment rental costs. Sewage Treatment Charges: These charges are paid by neighboring jurisdictions (Fairfax County and the Cities of Falls Church and Alexandria). Consistent with memoranda of understanding that the County has signed with Fairfax County and the Cities of Falls Church and Alexandria, the neighboring jurisdictions are charged both for their share of costs associated with operating the County’s sewage system as well as with making necessary capital improvements to it. Water/Sewer Late Fee: The County imposes a six percent fee on any water and sewer charges if, 30 days after the billing date, there is an outstanding balance on the account. New Account Fee: This $25 fee is charged to new customers when they set up a new utilities account. Turn-On Fee: This $25 fee is charged when the County turns on a customer’s water service after it had previously been shut off either at the customer’s request or for non-payment. Flow Test Fee: This fee is charged when developers request fire flow information necessary to do sprinkler system design. DFU Credit Inspection Fee: This fee is charged when developers request a credit for existing drainage fixture units (DFUs) at properties that will be demolished. The credit offsets the Infrastructure Availability Fees that a developer will be charged for new construction. Pretreatment Fee: This fee is assessed on certain businesses that introduce pollutants into the sewer system, or “Significant Industrial Users,” to recover all of the costs of the industrial pretreatment program, which ensures compliance with state and federal standards. Utility Marking Fee: This fee is charged to developers to have utility lines marked before construction begins. Hazardous Household Material Fee: This fee is charged for the safe disposal of household waste products that contain hazardous materials and require special waste management to minimize environmental impacts (televisions, computer monitors, etc.). Infrastructure Availability Fee: This fee is charged to developers for the capital costs associated with adding new demand on the water and sewer systems and is based on the number of drainage fixtures units added to the system. Revenues for this fee are accounted for in the Utilities Capital Pay-As-You-Go Fund.

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PROGRAM FINANCIAL SUMMARY

FY 2017 FY 2018 FY 2019 % ChangeActual Adopted Proposed ‘18 to ‘19

Personnel $21,123,353 $24,406,079 $25,003,746 2%Non-Personnel 27,609,576 29,682,602 29,117,009 -2%Debt Service 32,012,064 31,808,987 31,195,980 -2%Other 4,492,675 4,680,663 5,023,724 7%Subtotal 85,237,668 90,578,331 90,340,459 -Intra-County Revenue (911,326) (800,000) (850,000) 6%Total Operating Expenditures 84,326,342 89,778,331 89,490,459 -

Revenues 102,318,588 101,839,411 101,415,759 -Fund Balance Utilized - 1,510,560 2,100,000 39%Total Revenues and Fund Balance 102,318,588 103,349,971 103,515,759 -

Transfer to Capital 13,910,500 13,571,640 14,025,300 3%Total Transfers Out (In) 13,910,500 $13,571,640 $14,025,300 3%

Change in Fund Balance $4,081,746 - - -

Permanent FTEs 241.75 244.75 245.75 Temporary FTEs 2.20 2.20 2.20 Total Authorized FTEs 243.95 246.95 247.95 Note: In FY 2018, $1,510,560 from prior year fund balance will be used and in FY 2019, $2,100,000 from prior year fund balance will be used. The fund balance has been drawn down over the past few years and is projected to be above the minimum requirement, per policy, at the end of FY 2019. The County has used the fund balance to offset for rate stabilization and one-time operating and capital expenditures.

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FY 2017 FY 2018 FY 2018 FY 2019ACTUAL ADOPTED RE-ESTIMATE PROPOSED

BALANCE JULY 1 $19,341,232 $16,662,300 $23,422,978 $18,601,528

REVENUE Interest 106,547 50,000 75,000 75,000 Water/Sewer Billing 96,725,428 95,606,571 96,632,000 95,606,571Water Service Connection Fee 1,068,985 1,100,000 1,100,000 1,100,000Water Service Discontinuation 146,055 140,000 140,000 140,000 Meter Installation 34,275 25,000 25,000 25,000 Sewage Treatment Charges 3,172,144 3,925,000 3,700,000 3,470,853Late Fee 390,293 415,000 415,000 415,000New Account Fee 114,825 100,000 100,000 100,000Turn-On Fee 32,548 13,000 13,000 13,000Flow Test Fee 10,424 7,500 7,500 7,500Pretreatment Fee 10,400 5,200 5,200 5,200Utility Marking Fee 224,217 195,000 195,000 195,000Hazardous Household Material Fee 10,660 10,000 10,000 10,000Miscellaneous Revenue 271,787 247,140 247,140 252,635 TOTAL REVENUE 102,318,588 101,839,411 102,664,840 101,415,759

OPERATING EXPENSES

Utilities Services Office (net of intra-county billing revenue)

455,531 645,668 925,000 685,910

WSS Operations 17,394,717 18,136,317 18,350,000 18,884,085Water Purchase 6,750,935 8,000,000 7,200,000 7,200,000Water/Sewer Records 674,627 780,123 700,000 778,298Water Pollution Control 22,545,793 25,726,573 24,750,000 25,722,462Debt Service 32,012,064 31,808,987 34,308,987 31,195,980Other 4,492,675 4,680,663 4,680,663 5,023,724TOTAL EXPENSES 84,326,342 89,778,331 90,914,650 89,490,459

BALANCE (SUBTOTAL) 37,333,478 28,723,380 35,173,168 30,526,828TRANSFERS OUTUtility Construction (Fund 519 ) 13,910,500 13,571,640 16,571,640 14,025,300TOTAL TRANSFERS 13,910,500 13,571,640 16,571,640 14,025,300

TOTAL EXPENSE AND TRANSFERS 98,236,842 103,349,971 107,486,290 103,515,759

BALANCE, JUNE 30 23,422,978 15,151,740 18,601,528 16,501,528

Board-adopted Three-month Operating Reserve (excludes debt service)

$13,306,401 $14,692,336 $14,363,916 $14,786,120

Water/Sewer Rate per 1,000 gallons $13.27 $13.62 $13.62 $13.62

Note: Fund balance declines due to the planned use of fund balance for rate stabilization and one-time operating and capital expenditures.

UTILITIES FUND

OPERATING STATEMENT

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UTILITIES FUND OPERATIONS

WATER, SEWER, STREETS BUREAU

PROGRAM MISSION

To protect the health and welfare of Arlington residents and visitors by efficiently providing safe water and sanitary sewer services.

Purchases wholesale safe drinking water from the Army Corps of Engineers’ Washington Aqueduct Division.

Ensures adequate water flows and pressure. Reads, inspects, installs, and tests over 37,400 meters in the County (Water Meter Program). Monitors and operates the County’s water system, investigates potential water leaks and water

losses, and addresses resident concerns (Control Center). Maintains and repairs water mains, valves, fire hydrants, and other appurtenances; installs

new water service connections and fire line valves; and relocates or adjusts water infrastructure in conjunction with street and utility construction (Water Construction and Maintenance Program).

Conducts inspections and tests of valves and pumping stations, inspects and tests fire hydrants, and flushes water lines (Flushing and Inspection Program).

Operates and maintains the County’s sewage collection system. Maintains, flushes, and cleans sanitary sewer lines (Sewer Flushing Program). Identifies deficiencies in the sewer system (TV Inspection Program). Installs new sewer mains, adjusts or replaces manhole frames and covers that have become

worn, and makes spot repairs. Responds to sewer stoppages and other emergencies around the clock.


Personnel increases due to employee salary increases, an increase in the County’s cost for employee health insurance, and retirement contributions based on current actuarial projections.

Non-personnel decreases due to projected costs for purchased water ($800,000) and elimination of FY 2018 one-time funding ($31,000), offset by one-time funding for a Trades Center optimization study ($100,000), sewer preventative maintenance equipment rentals ($144,000), and adjustments to the annual expense for maintenance and replacement of County vehicles ($43,406).

Revenue increases due to Lee Pumping Station lease agreements with Sprint and Omnipoint ($5,495).

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WATER, SEWER, STREETS BUREAU



Personnel $10,405,076 $11,787,996 $12,279,358 4%Non-Personnel 13,740,576 14,348,321 13,804,727 -4%Total Operating Expenditures 24,145,652 26,136,317 26,084,085 -

Total Revenues 1,511,425 1,505,140 1,510,635 -

Net Revenue Support $22,634,227 $24,631,177 $24,573,450 -

Permanent FTEs 133.00 135.00 135.00 Temporary FTEs 0.60 0.60 0.60 Total Authorized FTEs 133.60 135.60 135.60

PERFORMANCE MEASURES

Critical Measures FY 2014 Actual

FY 2015 Actual

FY 2016 Actual

FY 2017 Actual

FY 2018 Estimate

FY 2019 Estimate

Number of water main breaks (per 100 miles) 35.7 55.9 26.0 35.0 40.0 35.0

Public sanitary sewer backups 17 35 70 70 53 70

The number of water main breaks varies year to year based on temperature fluctuations and

system conditions. In FY 2015, a higher than average number of main breaks were due to a pressure relief valve (PRV) failure. In FY 2018, the estimate is higher based on fluctuating temperatures throughout the winter.

Supporting Measures FY 2014 Actual

FY 2015 Actual

FY 2016 Actual

FY 2017 Actual

FY 2018 Estimate

FY 2019 Estimate

Commercial meters inspected - - - 81 197 200

Hydrants inspected 2,169 1,610 1,271 1,039 3,700 3,700

Sanitary sewer flushing (segments) - - - 3,491 4,000 4,000

Valves inspected 3,200 3,329 2,121 3,258 4,000 4,000

Water service installations - - 347 309 320 320

Valve inspection is defined as the crew making an assessment of the valve and recording its

attributes. In FY 2016, valves inspected were lower than prior years as the program transitioned from contractual to in-house personnel, which required time for hiring and training of personnel.

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WATER SEWER RECORDS

PROGRAM MISSION

To preserve the integrity of Arlington’s water and sewer infrastructure. Maintain and disseminate up-to-date and accurate records of Arlington’s water distribution and

sewer collection system infrastructure. These records ensure that proposed construction or repair work within Arlington does not compromise the County’s utilities infrastructure.

Automate water and sewer records for incorporation into Geographic Information System (GIS) maps.

Review building and utility permits, compute service connection fees, initiate water service installations, and administer the fire hydrant permit program.


Personnel decreases due to an increase in the projected amount of staff time spent on capital projects, partially offset by employee salary increases, an increase to the County’s cost for employee health insurance, and retirement contributions based on current actuarial projections.



Personnel $329,445 $314,223 $312,398 -1%Non-Personnel 345,182 465,900 465,900 -Total Operating Expenditures 674,627 780,123 778,298 -

Total Revenues 244,317 209,500 209,500 -

Net Revenue Support $430,310 $570,623 $568,798 -

Permanent FTEs 4.00 4.00 4.00 Temporary FTEs - - - Total Authorized FTEs 4.00 4.00 4.00

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UTILITIES SERVICES OFFICE

PROGRAM MISSION

To bill Arlington County customers accurately and efficiently for water, sewer, and refuse services. Efficiently generate accurate, customer-oriented billings for approximately 37,400 water,

sewer, and refuse accounts. Respond to customer services inquiries, administer the leak adjustment and cut off programs. Ensure that utilities payments are posted to customers’ accounts promptly and accurately.


Personnel increases due to the addition of a Public Engagement Specialist ($127,381, 1.0 FTE) employee salary increases, an increase in the County’s cost for employee health insurance, and retirement contributions based on current actuarial projections, partially offset by the chargeback to capital for capital work ($66,300).

Non-personnel increases due to the addition of software license costs for the asset management system ($4,885), and ongoing operating costs ($1,220), and one-time equipment costs ($4,000) associated with the Public Engagement Specialist.

Intra-county revenue increases due to increased billings to County agencies for water and sewer use ($50,000).

Revenue increases due to projected interest earnings ($25,000). Water and sewer revenue, late fees, new account fees, turn on fees, and interest are included

in Utilities Services Office revenue; however, they support the Utilities Fund overall.



Personnel $984,723 $1,122,372 $1,202,509 7%Non-Personnel 382,134 323,296 333,401 3%Subtotal 1,366,857 1,445,668 1,535,910 6%Intra-County Revenue (911,326) (800,000) (850,000) 6%Total Operating Expenditures 455,531 645,668 685,910 6%

Total Revenues $97,369,642 $96,184,571 $96,209,571 -

Permanent FTEs 10.75 11.75 12.75 Temporary FTEs - - - Total Authorized FTEs 10.75 11.75 12.75

PERFORMANCE MEASURES


FY 2015 Actual

FY 2016 Actual

FY 2017 Actual

FY 2018 Estimate

FY 2019 Estimate

Non-revenue water: percent of purchased water 13% 11% 10% 10% 10% 10%

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UTILITIES SERVICES OFFICE

Percent of bills which were estimated 0.3% 1.3% 1.9% 0.9% 0.4% 0.4%


FY 2015 Actual

FY 2016 Actual

FY 2017 Actual

FY 2018 Estimate

FY 2019 Estimate

Number of bills issued 174,484 174,907 174,975 175,168 176,000 176,000

Number of estimated bills issued 527 2,266 3,418 1,624 750 750

Volume of non-revenue water (million gallons) 1,084.03 901.94 737.47 778.08 715.00 715.00

Volume of water billed to customers (million gallons) 7,056.95 7,219.99 6,972.44 7,265.24 7,150.00 7,150.00

Non-revenue water is unbilled uses of water including water main breaks, water line and hydrant flushing, fire suppression activities, and water leaks. The volume of unbilled water is derived by deducting the billed amount of water from the amount of purchased water.

In prior budget documents, the number of estimated bills were per 100,000 bills. For clarity and transparency, this is now being presented as the actual count.

A higher number of estimated bills occurred during FY 2015 and FY 2016. In FY 2015, this was due to primarily to meter reads for one cycle not completed in time for the bill date. In FY 2016, this was due to the large snowstorm which prevented meter reads from being completed on time. Estimates were utilized so bills could be sent out on time to customers.

Volume of water billed to customers varies due to factors that affect consumption, including weather, household leaks, and irrigation. FY 2016 was a lower usage year due to lower temperatures and higher than average rainfall.

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WATER POLLUTION CONTROL BUREAU

PROGRAM MISSION

To protect public health and the environment through the safe and cost-effective treatment and disposal of wastewater generated in Arlington County. The Water Pollution Control Bureau (WPCB) treats wastewater generated in Arlington County

at the Water Pollution Control Plant (WPCP). The WPCB also treats a portion of the wastewater from Fairfax County and the Cities of Falls

Church and Alexandria. The WPCB also operates a Household Hazardous Material (HHM) Program that provides for the

safe collection and disposal of household waste products that contain hazardous materials and require special waste management to minimize environmental impacts.

Virginia's Departments of Environmental Quality (DEQ), Health (VDH) and Occupational Safety and Health (VOSH) and the U.S. Environmental Protection Agency (EPA) regulate the activities of the Water Pollution Control Plant.


Personnel increases due to employee salary increases, an increase in the County’s cost for employee health insurance, and retirement contributions based on current actuarial projections, partially offset by charge-backs to capital for capital work.

Non-personnel decreases due to adjustments to the annual expense for the maintenance and replacement of County vehicles ($25,105) and the elimination of FY 2018 one-time funding ($6,999).

Revenue decreases due to a projected decrease in sewage treatment charges from neighboring jurisdictions ($454,147).



Personnel $9,404,109 $11,181,488 $11,209,481 -Non-Personnel 13,141,684 14,545,085 14,512,981 -Total Operating Expenditures 22,545,793 25,726,573 25,722,462 -

Total Revenues 3,193,204 3,940,200 3,486,053 -12%

Net Revenue Support $19,352,589 $21,786,373 $22,236,409 2%

Permanent FTEs 94.00 94.00 94.00Temporary FTEs 1.60 1.60 1.60Total Authorized FTEs 95.60 95.60 95.60

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WATER POLLUTION CONTROL BUREAU PERFORMANCE MEASURES


FY 2015 Actual

FY 2016 Actual

FY 2017 Actual

FY 2018 Estimate

FY 2019 Estimate

Treatment cost per million gallons per day (MGD) of actual flow $2,594 $2,644 $2,721 $2,781 $2,634 $2,742

The cost per million gallons of actual total average flow is net of the payment that the County

makes to Fairfax County for the transmission to and processing of a portion of Arlington's wastewater at the District of Columbia Water and Sewer Authority’s Blue Plains facility.


FY 2015 Actual

FY 2016 Actual

FY 2017 Actual

FY 2018 Estimate

FY 2019 Estimate

Average daily biological oxygen demand load (pounds/day) - - 70,000 62,000 71,000 72,000

Chemical volume per million gallons (MG) treated (pounds) - - 571 567 560 555

Energy used at the Plant (kilowatt hour/ Million Gallons per Day(MGD)) - - 3,400 3,700 3,700 3,600

Household hazardous material received (pounds) 607,872 592,801 568,028 523,492 531,000 541,000

Lost time - safety (days) - - 46 0 25 10

Preventive maintenance completed on time (percent) 85% 92% 92% 86% 94% 100%

Total average flow (MGD: million gallons per day) 23.2 23.0 23.3 21.6 24.5 25.0

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DEBT SERVICE AND OTHER

PROGRAM MISSION

This line of business captures:

Debt service for the repayment of bonds and loans used to finance capital improvements to the water distribution and sewage collection systems and also the Water Pollution Control Plant (WPCP).

Fund-wide and miscellaneous expenditures such as rental of office space at Courthouse Plaza and state-mandated payments to the Virginia Waterworks Fund.

The Utilities Fund’s allocated share of overhead charges for work performed by both the Department of Environmental Services (DES) and non-DES General Fund agencies.


Debt service decreases due to repayment of General Obligation Bonds for various Utilities Fund capital projects and the repayment of a portion of funds borrowed through the Virginia Wastewater Revolving Loan Fund for the Master Plan 2001 project at the WPCP ($613,007).

Other expenses increase due to higher overhead charges based on FY 2019 projections ($343,061).



Debt Service $32,012,064 $31,808,987 $31,195,980 -2%Other 4,492,675 4,680,663 5,023,724 7%Total Operating Expenditures 36,504,739 36,489,650 36,219,704 -1%

Total Revenues - - - -

Net Revenue Support $36,504,739 $36,489,650 $36,219,704 -1%

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UTILITIES FUND

TEN-YEAR HISTORY

EXPENDITURE, REVENUE, AND FULL-TIME EQUIVALENT TRENDS

Note: Beginning in FY 2012, revenue includes utilization of fund balance in addition to fees and

other revenue received during the fiscal year.

$ in 000s

FY 2010

Actual

FY 2011

Actual

FY 2012

Actual

FY 2013

Actual

FY 2014

Actual

FY 2015

Actual

FY 2016

Actual

FY 2017

Actual

FY 2018

Adopted

Budget

FY 2019

Proposed

Budget

EXP $70,830 $76,129 $80,054 $86,146 $87,020 $86,157 $86,735 $84,326 $89,778 $89,490

REV $85,247 $91,352 $98,395 $101,522 $95,637 $100,996 $98,710 $102,319 $101,839 $101,416

FTEs 223.70 223.70 222.70 229.50 231.50 235.75 243.95 243.95 246.95 247.95

210

215

220

225

230

235

240

245

250

$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000FTEs EXP REV

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UTILITIES FUND TEN-YEAR HISTORY

Fiscal Year

Description

FTEs

FY 2010 The total water/sewer rate increased $0.66 to a total of $11.20 per

thousand gallons (TG), a 6.3 percent increase, which produced $2.2 million of additional revenue. The water rate increased $0.07/TG to $3.42/TG. The sewer rate increased by $0.59/TG to $7.78/TG.

One new position was added for a Laboratory Technician at the Water Pollution Control Plant ($81,000), in order to comply with new state regulations that require meeting Certification for Non-Commercial Environmental Laboratories (NELAC) accreditation standards.

1.0

Non-personnel expenditures include increases in non-discretionary contractual costs for maintenance, construction, and equipment rental ($653,000), an increase for wholesale water purchases from the Washington Aqueduct ($238,000), an increase of $103,000 to fund the apprenticeship program at the Water Pollution Control Plant, an increase of $184,000 for County owned vehicles and fuel charges, an increase of $105,000 for a transfer to the Auto Fund for the purchase of a dump truck and tailgate roller, and a decrease of $498,000 in the transfer to capital for Pay-As-You-Go funding.

The total water/sewer rate increases $0.54 to a total of $11.74 per thousand gallons (TG), a 4.8 percent increase, which will produce $2.8 million of additional revenue. The water rate increases $0.08/TG to $3.50/TG. The sewer rate will increase by $0.46/TG to $8.24/TG.

FY 2011 The total water/sewer rate increases $0.54 to a total of $11.74 per thousand gallons (TG), a 4.8 percent increase, which will produce $2.8 million of additional revenue. The water rate increases $0.08/TG to $3.50/TG. The sewer rate will increase by $0.46/TG to $8.24/TG.

The Infrastructure Availability Fee (IAF) increases by $18 per drainage fixture unit (DFU) to a total of $182 per DFU, an 11 percent increase. The water IAF increases by $3/DFU to $72/DFU. The sewer IAF increases by $15/DFU to $110/DFU.

Non-personnel expenditures include an increase of $873,520 for fuel costs associated with the new stand-by generator at the Water Pollution Control Plant, partially offset by revenue of $256,230 from the Demand Side Management Program. Other non-personnel increases are for chemicals associated with new processes at the plant that are part of the MP01 upgrade ($451,323), the apprentice program at the plant to address transition staffing needs ($442,859), an increased wholesale water purchase price from the Washington Aqueduct ($301,700), and increased insurance costs and automotive costs ($129,000).

FY 2012 The total water/sewer rate increases $0.45 to a total of $12.19 per thousand gallons (TG), a 3.8 percent increase, which will produce $2.0 million of additional revenue. The water rate increases by $0.18/TG to $3.68/TG. The sewer rate will increase by $0.27/TG to $8.51/TG.

The FTE count in the adopted FY 2012 budget is 222.7, compared to 223.7 in the FY 2011 adopted budget. This reflects the transfer of a position from the WPCP in the Utilities Fund to the Directors Office in the General Fund.

(1.0)

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Fiscal Year

Description

FTEs

Personnel includes an increase of $511,593 for overtime and standby

pay for additional tank cleaning efforts at the Water Pollution Control Plant (WPCP) related to the Master Plan 2001 (MP01) project, and for the anticipated impact of the Department’s Safety Policy for Maximum Hours Allowed to Work for the Water, Sewer, Streets Bureau (WSS).

Non-personnel expenditures include an increase of $449,463 for a full year of fuel for the new standby generator facility at the WPCP; an increase of $318,925 for chemicals at the WPCP; an increase of $305,438 for contractual services associated with engineering services, tank cleaning, and water sampling; an increase of $287,284 for grit and solids hauling; an increase of $224,197 for operating and maintenance equipment and supplies; an increase of $144,705 for vehicle and equipment charges; an increase of $79,100 for safety and other training; and, an increase of $39,101 for operating costs at the recently acquired property at 2900 S. Eads Street. Debt Service increases by $2.4 million in FY 2012 primarily for repayment of funds borrowed through the Virginia Wastewater Revolving Loan Fund for the Master Plan 2001 project at the WPCP.

Increases are partially offset by a decrease of $477,873 in electricity costs, a decrease of $335,700 in the cost of water purchases from the Washington Aqueduct, and a decrease of $149,000 for water consumed by the WPCP.

FY 2013 The total water/sewer rate increases $0.42 to a total of $12.61 per thousand gallons (TG), a 3.4 percent increase, which will produce $5.0 million of additional revenue. The water rate increases by $0.30/TG to $3.98/TG. The sewer rate will increase by $0.12/TG to $8.63/TG.

Personnel includes seven new FTE’s (a water quality engineer and a new six-person water maintenance crew).

7.0

A partial FTE is transferred to the Department of Environmental Services General Fund budget.

(0.2)

Non-personnel expenditures increased $861,100 for chemicals, supplies, and contractual services for the process control system at the Water Pollution Control Plant.

County vehicle charges increase $161,392 for new equipment approved in the FY 2011 closeout process and also for the new vehicles and equipment for the new water maintenance crew. The transfer to the Auto Fund increases $502,500 for the purchase of vehicles and equipment for the new Water Maintenance Crew.

Utilities increase by $144,200 for water and electricity at the WPCP. Wholesale water purchases from the Washington Aqueduct increase by

$100,000.

Other WPCP increases include $100,000 for safety consulting at the plant and $80,651 for increased level of security guards required during continued construction at the WPCP.

Debt service increases $635,758 for repayment of General Obligation bonds and VRA bonds for various Utilities Fund capital projects.

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Fiscal Year

Description

FTEs

The transfer to PAYG capital decreases $897,282, based on the planned

FY 2013 maintenance capital program.

FY 2014 Personnel includes two new positions, a Construction Manager and a Sanitary Sewer Engineer ($799,040).

2.0

Non-personnel increases include $639,400 for maintenance supplies at the Water Pollution Control Plant (WPCP), $400,000 in consulting for various studies and ongoing capital project support at the Water Sewer Street Bureau (WSS), $476,141 for electricity, Contracted Services and the apprenticeship and succession planning programs at the WPCP, $100,000 for wholesale water purchases from the Washington Aqueduct, the addition of $52,000 for the replacement of an existing server for the Utility Services Office (USO), $30,419 for operating supplies and $7,725 for landfill charges at WSS, $22,000 to purchase a vehicle for the new Construction Manager at WSS, the addition of $10,000 for automation of real estate agreement records, $7,662 for printing and mailing of utility bills, $2,037 for charges from the County’s print shop to USO, and $1,000 for the utilities share of base map maintenance.

Non-personnel expenses decrease by $498,440 for generator fuel at the WPCP, decrease for the transfer of Water / Sanitary Sewer Frames and Covers to the Utilities PAYG budget ($400,000), solids hauling ($295,497), chemicals at the WPCP ($154,274), based on updated volume and pricing assumptions, gas at the WPCP ($40,500), based on an anticipated price decrease, water at the WPCP ($29,050), County vehicle charges ($26,710), and elimination of the Telecom & Communications budget for Water Sewer Records ($2,773).

Debt service decreased by $590,424 for repayment of general obligation bonds for various Utilities capital projects.

Total revenues include revenue from Inter-jurisdictional Partners ($624,433), revenue from the County’s participation in Dominion Virginia Power’s Demand Side Management program ($68,985), Utility Marking revenue ($50,000), and Lee Pumping Station lease revenue ($5,725).

The Infrastructure Availability Fee (IAF) increases by $18 per drainage fixture unit (DFU) to a total of $200 per DFU, a 10 percent increase. The water IAF increases by $13/DFU to $85/DFU. The sewer IAF increases by $5/DFU to $115/DFU.

The transfer to the Auto Fund decreases to zero.

FY 2015 Added a Chief Engineer, a Control Systems Engineer, an Electrical Power Technician, and a Control Systems Technician ($580,648).

4.0

Increased a Records Assistant position from 0.50 to 0.75 FTE ($12,458). 0.25 Reduced generator fuel expenses based on lower than anticipated use

($394,200).

Eliminated sixteen over-strength positions ($391,020).

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Fiscal Year

Description

FTEs

Non-personnel decreases include equipment repair expenses

($165,910), payments for leased equipment ($31,911), and wholesale water purchases from the Washington Aqueduct ($200,000).

Non-personnel decreases are partially offset by increases in maintenance supplies ($446,796), contracted services ($92,775), insurance claims ($31,464), operating equipment and supplies ($61,854), inspection and repair of water valves ($350,000), and adjustment to the annual expense for maintenance and replacement of County vehicles ($6,389).

Debt service decreases due to repayment of General Obligation Bonds for various Utilities Fund capital projects ($644,644) and repayment of funds borrowed through the Virginia Wastewater Revolving Loan Fund for the Master Plan 2001 project at the WPCP ($81,507).

Other expense increases include higher overhead charges based on FY 2015 projections ($230,863), funding for over-strength positions to meet succession planning and other needs ($150,000), and the annual payment to the Virginia Waterworks Fund ($35,631).

Increased the water/sewer rate by $0.43, from $12.61 to $13.04 per thousand gallons (TG).

Revenue increases due to water consumption estimates and the adopted rate increase ($3,091,257).

Revenue increases also include water service connections ($100,000), water service discontinuations ($20,000), meter installations ($10,000), pretreatment revenue ($340), and the Lee Pumping Station lease agreements with Sprint and Omnipoint ($4,425).

Revenue increases are partially offset by decrease in interest ($100,000), a decrease in household hazardous material revenue ($5,000), and the County’s participation in Dominion Virginia Power’s (DVP) Demand Side Management program ($394,200).

FY 2016 Transfer of a Management and Budget Specialist from the Facilities Design and Construction Bureau in the General Fund to increase from 0.80 to 1.0 FTE ($25,696, 0.20 FTE)

0.2

Added a Capital Projects Engineer ($113,533, 1.0 FTE), a Large Water Meter Service Team ($165,921, 3.0 FTEs), and a Valve Exercise Team ($221,228, 4.0 FTEs) replacing contractors for budget savings.

8.0

Non-personnel increases primarily due to increases in maintenance supplies ($71,066), contracted services ($51,762), chemicals ($36,572), redundant (wireless) SCADA service at lift stations ($30,688), security system monitoring ($30,000), adjustments to the annual expense for maintenance and replacement of County vehicles ($26,609), one-time expenses for the Utility Billing System replacement project management ($99,842), one-time equipment expenses for the new FTEs ($63,000), and operating expenses for the new FTEs ($32,902).

Non-personnel decreases due to the elimination of contractual valve work ($350,000).

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Fiscal Year

Description

FTEs

Debt service decreases due to repayment of General Obligation Bonds

for various Utilities Fund capital projects ($736,502) and repayment and refinancing of a portion of funds borrowed through the Virginia Wastewater Revolving Loan Fund for the Master Plan 2001 project at the WPCP ($293,746).

Other expense increases due to higher overhead charges based on FY 2016 projections ($75,594).

Intra-county revenues increase based on historic trend analysis of water revenue from county departments ($57,600).

Revenues increase due to the adopted water and sewer rate increase ($974,847), sewage treatment charges from neighboring jurisdictions ($325,531), late fees ($100,000), interest earnings ($50,000), water service connections ($50,000), water service discontinuations ($10,000), utility marking fees ($10,000), meter installations ($7,000), turn on fees ($6,000), fire flow test fees ($4,000), pretreatment revenue ($3,550), and Lee Pumping Station lease agreements with Sprint and Omnipoint ($2,832).

FY 2017 Non-personnel increases due to the addition of costs for licensing and operating costs for asset management software ($229,950), mobile meter management software ($35,000), and capital project tracking software ($27,093), redundant (wireless) SCADA service at pumping stations ($22,320), offset by adjustments to the annual expense for maintenance and replacement of County vehicles ($26,739).

Debt service decreases due to repayment of General Obligation Bonds for various Utilities Fund capital projects ($261,145) and repayment and refinancing of a portion of funds borrowed through the Virginia Wastewater Revolving Loan Fund for the Master Plan 2001 project at the WPCP ($176,147).

Other expense increases are due to higher overhead charges based on FY 2017 projections ($418,512).

Revenues decrease due to lower pretreatment revenue ($10,650) and appliance fees ($7,500), offset by an increase in Lee Pumping Station lease agreements with Sprint and Omnipoint ($4,643).

FY 2018 Added a Contract Specialist ($119,466), Engineering Technician ($63,476), and a Trades Worker ($59,743).

3.0

Non-personnel decreases due to the elimination of contractual equipment rental and operation ($200,000), elimination of FY 2017 one-time expenses ($134,842), decreased operating costs associated with asset management software ($127,989), adjustments to the annual expense for the maintenance and replacement of County vehicles ($15,927), partially offset by one-time equipment for new FTEs ($37,999), operating expenses associated with new FTEs ($35,414), increases due to Security Information and Event Management (SIEM) ($7,000), and insurance claims ($3,536).

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Fiscal Year

Description

FTEs

Debt service decreases due to repayment of General Obligation Bonds

for various Utilities Fund capital projects ($577,747) and repayment and refinancing of a portion of funds borrowed through the Virginia Wastewater Revolving Loan Fund for the Master Plan 2001 project at the Water Pollution Control Plant (WPCP) ($64,000).

Other expense increases are due to the higher overhead charges based on FY 2018 projections ($23,284) and Courthouse Plaza rent ($5,133).

Revenues increase due to the increase in the water and sewer rate ($2,443,503), water discontinuation fees ($10,000), meter installation fees ($8,000), Lee Pumping Station lease agreements ($4,180), inspections ($7,000), and miscellaneous revenue ($3,720), offset by decreases in sewage treatment charges from neighboring jurisdictions ($311,269), water service connections ($50,000), late fees ($35,000), appliance fees ($2,500), utility marking fees ($15,000), and fire flow test fees ($6,500).

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